Crypto license in Switzerland

Swiss law does not define “cryptocurrency” but speaks of “crypto-based assets.” Activities are classified using guidelines published by FINMA. Most tokens fall into three categories:

• Payment tokens: Used as digital money for goods/services (Bitcoin, Ether)
• Utility tokens: Give access to a service or application
• Asset tokens: Backed by real-world assets, can represent equity, debt, or a share of future profits

Each token type has different implications under Swiss banking, securities, and tax laws.

A key focus is compliance with Switzerland’s Anti-Money Laundering Act (AMLA). Crypto companies must conduct KYC checks, monitor transactions, report suspicious activity to the authorities, and keep robust records.

Audit and reporting obligations

Swiss companies with revenue above CHF 500,000 must prepare annual financial statements, which can be filed in Swiss francs or another main business currency, and in English or an official Swiss language. Documents must be kept for 10 years. Larger companies face mandatory annual audits if they exceed certain balance sheet, income, or staff size thresholds.

For crypto businesses, regular reporting to SROs or FINMA is required, with a strong emphasis on anti-money laundering documentation and audit trails.

Taxation of crypto companies

In Switzerland, cryptocurrencies are not treated as legal tender but as assets. Businesses pay taxes on income, profits, or asset holdings earned or held in Switzerland.

Key facts:

• Tax residence status determines whether you are taxed only on Swiss-sourced income or on global profits.
• Tax rates and systems vary by canton, bringing planning opportunities. Zug is particularly attractive for crypto startups.
• Most crypto firms cannot deduct VAT on certain transactions and are charged at corporate rates between 12%–18%.

Cross-border activities and MiCA considerations

Although Switzerland is outside the EU, the new Markets in Crypto-Assets (MiCA) regulation affects Swiss companies that serve EU clients or operate cross-border. From December 30, 2024, Swiss providers must comply with MiCA if they want access to the EU crypto market unless they can rely on “reverse solicitation” (where the client initiates the relationship). The rules around cross-border marketing are strict and breaches can result in penalties.

Swiss banks have historically been conservative, but many are now open to serving compliant crypto businesses. Several local banks and electronic money institutions (EMIs) offer business accounts, especially to companies with strong AML policies and SRO or FINMA registration.

Our team can assist you in:

• Presenting your company to crypto-friendly Swiss banks or EMIs
• Preparing the required compliance documentation
• Ensuring your corporate structure aligns with local best practices

Advantages of registering in Switzerland

• Internationally respected legal environment and regulatory clarity
• Prestigious, innovation-focused reputation and close-knit blockchain community
• Flexible licensing paths (SRO entry is fast and cost-effective)
• Choice of legal entity and canton, optimizing taxes and language needs
• Four official languages, plus English widely accepted for business and filings
• Broad service scope for SRO members (exchange, custody, ICOs, payment, OTC, etc.)
• Low entry capital requirements for GmbH/Sàrl (CHF 20,000)
• Opportunity to test and expand business models before applying for higher-tier licenses

With the right Swiss crypto authorization, you can legally provide and combine a range of services:

• Cryptocurrency and fiat exchange
• Digital asset custody and wallet services
• OTC and broker-dealer operations
• Payment solutions (including stablecoins)
• Cryptoasset transfers and settlements
• ICO/ITO/STO management (with proper legal opinions)
• Lending or collateralized transactions (with extra approvals)

Note: Direct marketing to non-Swiss clients is restricted, especially for EU countries. Service to the EU is limited to cases where the client reaches out first.

How Legarithm can help

Our legal team assists at every stage: choosing the right structure, preparing documentation, managing licensing or SRO membership, designing compliance policies, and securing bank accounts. We navigate the local requirements and help you achieve operational readiness quickly and smoothly.

If you are ready to start or expand your crypto business in Switzerland, contact us for a custom consultation. We handle the details so you can focus on building your vision.